Reduce-Lux
“Healing substance that suits your body”
Name: Helen Dillman
School: Clackamas High School
Teacher: Mr. Kirby
Date: 1/14/2015
Table of Contents
I.
II.
Executive Summary
Page 1
Product
Page 2
III.
Marketing
Page 3
*Executive Summary*
My product “Reduce Lux” offers a solution to muscle pain and stiffness, as well as
weight issues. My product is composed of ingredients that are helpful; providing the process of
relaxation, refreshingness, and fat loss. The cosmetic industry is composed of many competitors,
for which we will join a “perfect competition” since similar products face similar challenges and
hence do not control pricing of similar products.
My business is composed of a sole proprietorship in which I am responsible for all
finance. Since I am a single entrepreneur with no current partner, I will start my business alone
with a clear budget in which I alone am responsible for all expenses.
The product’s mission statement relates to its value: “To heal and refresh the body”.
The goals imposed for my business are to sell large stocks of bottles to convenience
stores, sell more online, lower production costs, increase popularity through advertisements on
TV ads and popular online webs.
My management team is composed of employees sectioned by area. A total of five
employees currently that are considered: advisories, product idealists, and product producers.
*Product*
My product is composed of Water, Isopropyl Alcohol, Glycerine, Propylene Glycol,
Indian Pennywort. The ingredients are simple and not highly expensive, but are very effective in
satisfying the customer’s need. The Isopropyl and Glycol will give it a refreshing feeling to the
soreness of muscles, which will leave the customer with a great sensation of relaxation. The
containment of Indian Pennywort is known for its effective healing which are important in the
recovery of hurt muscles. This ingredients can also help active members lose more weight as it
gives the user an advantage to recover quicker and continue on, as well as ease of arthritis pain
for a short period of time.
Today, people are searching for solutions to their problems, many of them being muscle
or body related. Athletes, heavy lifters, workout beginners, and weight watchers are potential
customers for this business.
This product is unique in its ability to ease muscle pain as well as reduce weight. It is of
great potential interest to a large audience that is always seeking cosmetic solutions.
Some barriers that the business could face are distribution. With no widely recognizable
appearance, my product is not ready to face label recognition. To overcome this issue it would be
helpful to get more ads out in online pages or in TV advertisements. Providing this product at
sports stores would give brand an opportunity to be connected with prefered customers.
Industry Revenue Growth is 3.4% over a 5 year period. $245 Billion in Total Industry
Revenues in 2012. The industry of skin care products is 30% of the market. There are about 10%
that focus on the use of gel on skin care to benefit muscle soreness. Therefore, there is greater
opportunities to enter and make profit in this business.
*Marketing*
My product will reach potential customers in the media through the internet and on TV.
Online marketing will benefit greater since it will target young active people that will be
attracted to the use of this muscle relaxer. Through TV ads and the online webpage we can give
deals or promotions on buying items. This will spread the business name as well as provide the
consumer with ways to contact us and modify their order.
The price on the product will be $7.99 per bottle. With special offers such as buy 2 get one free.
And even better prices online, as more bottles are sold the price gets cheaper, with free shipping
after buying 12 bottles. Wholesale to stores for $4.99 per bottle, comes in sets of 25, 50, and 70.
The sale goals are expected to reach: $55,000 per year and grow as the product recognition
increases. The cost of make per bottle would average at $2.50 per bottle. Giving a wholesale
profit of $2.00 per bottle sold, and $5.50 retail profit through online orders.